How the Nigerian Scam Works

Have you heard about the Nigerian Scam? You may have heard it called the 4-1-9 scam. It is not surprising if you have not heard of this even though it has been around a long time. It continues to pull in victims besides the fact the legal system has been hard at work to stop it for over twelve to fifteen years or possibly longer. The Financial Crimes Division of the Secret Service receives about 100 telephone calls and 300 to 500 pieces of related correspondence a day from victims and potential victims.

The Nigerian Scam (also known as "4-1-9" fraud after the section of the Nigerian penal code which addresses fraud schemes) is generally targeted at small and medium sized businesses, as well as charities. Claiming to be Nigerian officials, business people or the surviving spouses of former government officials. They offer to transfer millions of dollars into your bank account in exchange for a small fee. If you respond to the offer, you may receive what looks like official documents. What usually follows next is you are asked to provide a blank letterhead and your bank account numbers. You also will be asked to send some money to cover transaction, transfer costs and attorney fees.

The 419 scam first originated sometime early in the 1900's when oil-based economy of Nigeria fell. Several unemployed university students first used the scam as a means of manipulating business visitors who were looking for less than legal deals in the Nigerian oil sector. They then moved on to western businessmen and then the rest of the world population.

Some say it actually originated way earlier, or the college students actually got the idea from letters written in or around 1588 from people claiming to be trapped in a Spanish castle. The "prisoner" would promise to share a treasure with the person that could send them money to bribe the guard to release them.

What to Look For In Emails

The following are often some clear signs of the Nigerian (419) Scam exist found in the content of an email.

· Name dropping - the naming of government officials, banks, or reputable businesses. Sometimes the description of some event, which can be found in a reputable online newspaper. Often a link may be provided to a newspaper report of the arrest of a supposed family member or death of the supposed bank holder.

· Questionable contact - an example of this would be you receiving notification of a lottery win by a person who works in a bank. You might receive email that does not look like it is official for a bank employee or lawyer.

· Cell phone numbers - The contact numbers will be cell phones or fax numbers and not land lines. In the UK, these numbers start with +44-7, 07- or 7-. With the increase of public VOIP (Voice Over Internet Protocols) services available in major financial centers, the use of some landline numbers such as +44-20 are on the rise though.

· Use of free email accounts - the reply address will often not collaborate with the company claimed. An example would be a person claiming to work for a major bank who is using a Hotmail or Yahoo email account. If you question them about this, they will say they are using this account and not their company email to keep their bosses from finding out.

· Acting as if they know you - usually they will act as if they personally know you. They do this by referring to your reputation for integrity, honesty, and discretion.

The Nigerian Scam is not only dangerous to your bank account it can be physically dangerous. Sometimes the victim is invited to visit their country to complete the transaction. The victim is told they will not need a visa to enter Nigeria. The scam artist may bribe airport officials to allow the victim to pass through Immigration and Customs without the proper paperwork.

It is a serious offense to enter Nigeria without a visa; the victim's illegal entry may be used against them for financial gain. Violence is not uncommon, in 1995 an American was murdered in Lagos, Nigeria, while pursuing a 4-1-9 scam and many other people have been reported missing that may be connected to this scam.

If you receive offer the FTC (Federal Trade Commission) suggests you forward it to them at spam@uce.gov. If you have lost money to one of these scams, you should call your local Secret Service field office, which you can find in your phonebook.